(6 years, 10 months ago)
Commons ChamberThe Government conduct an extremely broad range of work on EU exit issues and will continue to do so, which means that all decisions, including those on the EU customs union, are supported by many analyses. Leaving the customs union liberates the UK to establish new and fruitful trade deals with the rest of the world, as well as pursuing a new trading relationship with the EU that retains as frictionless a trade as possible in goods.
From that answer, it is clear that no assessment has been made. We have had it confirmed again this week that the north-east retail and manufacturing sector will be hardest hit in all scenarios. It is clear—is it not?—that nearly 200,000 workers in my region who work in these sectors are facing grim futures because of this Government’s inability to get their act together.
One advantage—although there are many—of leaving the customs union is that Britain can be a champion for global free trade again for the first time in 40 years. Free trade through mutually beneficial partnerships has historically ushered in productivity, innovation, consumer choice, growth and prosperity—something I hope that the hon. Lady will encourage.
I very warmly welcome my hon. Friend to her place. It is great to see a ray of sunshine, optimism and positivity from the Front Bench. What a shame that we do not see the same from the Opposition Benches. Is she surprised, as I am, that we are still discussing the customs union? The EU has ruled it out. The Prime Minister has ruled it out. The Leader of the Opposition—if not quite the shadow Secretary of State—has ruled it out. Why are we still talking about it?
My hon. Friend raises a very prescient point. The British people voted to leave the EU in their historic decision in 2016. In doing so, they instructed this Parliament to take us out of the EU customs union. That is exactly what the Prime Minister and this Government are doing.
Blaenau Gwent has just been boosted by the arrival of the car company, TVR. Does the Minister agree that we need a customs union with the European Union for such ventures to survive and thrive?
The UK is the second largest market for cars in Europe, so it is clearly in both our interests to continue this partnership between our industries. Is it not encouraging that companies such as Jaguar Land Rover, Nissan, Toyota and McLaren have made significant investment decisions in the UK since the referendum? I am committed, with this Government, to ensuring as frictionless trade as possible, so that we can continue this fruitful arrangement and support this vital sector of our economy.
It may be that the Minister is not aware that, in fact, car production went down for the first time since 2009 and that investment in the industry has also gone down by £500 million. When will the Government confirm exactly what their plans are in relation to the customs union, so that companies that manufacture here know that their components can get safely into the United Kingdom and not get stuck in a traffic jam at Calais?
We are seeing a rise in manufacturing and in exports, and UK foreign direct investment is at a record high. The economy is doing very well, and there have been encouraging signs and votes of confidence in the UK economy since Brexit. As we enter the next phase of the negotiations, we want to ensure that the automotive sector benefits from any arrangement. That will be a priority for the Government.
We now know—no thanks to the Government—that all the analysis that the Government have done to date shows that Brexit is bad news. We know that the Prime Minister was shown that analysis a few days ago, and we know that the first thing she did was to jump on a plane to China. Will the Minister confirm the accuracy of the reports yesterday that the Government’s analysis also shows that their obsession with cutting EU migration will be seriously bad for the British economy?
We are in the middle of the negotiations, but when it comes to migration, it is clear that the UK will be committed to designing its own immigration policy, which is determined by skills, talent and brains. That is what will drive our economy forward, and that is what will create jobs and growth.
My question was whether yesterday’s report was correct. I take it from the Minister’s attempt to dodge the question that that report, like the previous ones, was entirely accurate. Given that the Government’s own analysis shows that leaving the European Union is bad news, leaving the customs union is bad news and leaving the single market is bad news—and now that we know that cutting immigration from the European Union is bad news—do the Government have any plans, at any time before Brexit day, to adopt a strategy that is based on facts and evidence, rather than on blind ideology?
The document to which the hon. Gentleman refers is not Government policy. It comes with significant caveats and is limited in nature. It is clear that there are significant benefits from our departure from the EU and the customs union. First, we have the chance to pursue our independent global trade policy and foster growing economic ties with fast-growing economies for the first time in 40 years. Secondly, we will be free from the common external tariff, which could lead to a drop in consumer prices for British citizens. Lastly, we have the golden opportunity to build a new customs arrangement with the EU that is world-leading and enables prosperity, jobs and growth.
Ministers from across the Government have carried out extensive engagement on EU exit, in both the UK and the EU, with businesses and industry bodies from all sectors of the economy. Those include international businesses with a footprint in the UK and British businesses with interests in the EU. The Prime Minister chairs a quarterly business advisory council to hear directly from senior business leaders on the key issues across EU exit and the wider economy.
Coming from Coventry, which is the home of the UK motor industry, I have been delighted by the industry’s resurgence in recent years. Last year, however, it did see a fall in output of 3%, which was attributed by the Society of Motor Manufacturers and Traders to the need for clarity on Brexit transition. Given the importance of car manufacturing and its supply chain to the west midlands economy, what reassurance has the Minister been able to give the industry about the future relationship with our European partners?
I, too, am delighted about the resurgence to which my hon. Friend refers. It is precisely because of such requests and the result of such engagement with businesses that the Government’s proposals for an implementation period—promising the clarity needed to plan ahead—have been welcomed by various sectors of our economy. We and the EU want to agree the detail of the implementation by the end of March, making good as swiftly as possible on our promise of certainty. We are seeking a bold and ambitious economic partnership with the EU, with the greatest possible tariff and barrier-free trade arrangement with our European neighbours.
Businesses that I speak to in the north-east tell me of international investments that have been put on hold while companies try to work out what kind of Brexit this Government are actually going for. They do not want to make that public, so will the Minister tell me how she is engaging with international business to assess the impact of that on our economy, and indeed—because I forget what the story is today—whether such an assessment is going on?
I hope the hon. Lady listened to the Secretary of State’s very detailed presentation and speech on Friday in which he set out the terms of an implementation period and addressed exactly the issues that she raises now. The implementation period will provide a bridge and a platform for businesses to enable them to plan for the future, to give them the time that they need, and to enable them to plan on that basis for a prosperous future outside.
The services sector is of course the largest part of the British economy, and while the single market in services may not be complete, it is the deepest market in services anywhere on the globe. Will the Minister confirm that it is our intention that the full services sector will be included in our deep and special partnership?
My hon. Friend brings to the House her experience of the European Parliament, which we all value. As 80% of the UK economy is services-based, it is absolutely vital that we incorporate provisions relating to services in any new arrangement with the EU.
I was astonished to read in yesterday’s National Audit Office report on the equipment plan that the Ministry of Defence’s inability to hedge effectively against sterling fluctuations could cost up to £5 billion. Will the Minister advise us what DExEU is doing to support other Departments that are struggling with Brexit as they engage with the international community?
As I have said, there is considerable engagement with the international business community. The Prime Minister herself chairs a business advisory council to hear directly from senior business leaders on key issues. On cross-departmental engagement, there is considerable work and engagement across all Whitehall Departments to prepare for all outcomes from these negotiations.
Remaining in the customs union would prevent the UK from striking new free trade deals and setting new tariffs on goods from countries outside the EU. By leaving the customs union and building a new customs arrangement with the EU, we will be able to forge new trade arrangements with our partners around the world while ensuring that trade in goods between the UK and the EU is as frictionless as possible.
One of the most exciting opportunities that will become available when we leave the customs union is that of establishing a free port at Teesport, as the Secretary of State and the Minister saw for themselves last week. Will the Minister confirm that the Government will give serious consideration to this excellent idea, which will put rocket boosters under my local economy?
I thank my hon. Friend and the Mayor of Tees Valley for welcoming the Secretary of State and me to Teesport last Friday. My hon. Friend has been an indefatigable voice for his constituents since his election to Parliament last year. It was a pleasure to meet some of the 100 business representatives who were present when the Secretary of State made his speech last Friday. Teesport is an opportunity for global Britain, and a gateway to the world—an example of our forward-thinking, independent trade policy. When we leave the EU customs union, we will have the opportunity to create our own trading policy to benefit Teesport and other areas. I sincerely hope that the free port proposal on the table will be one of the options explored.
As my hon. Friend will know well, in Harrow, we have a thriving Indian diaspora, whose members are desperate to encourage trade between the UK and India. Will she ensure that, during the negotiations, they will not be held back from improving trade between India and the UK by artificial trade barriers between those countries?
I pay tribute to my hon. Friend for his lifelong advocacy for the British Asian community, not least in the 1990s when he encouraged my mother to stand as a local councillor—you could say, Mr Speaker, that my hon. Friend is to blame for my being here today.
Leaving the EU offers us the opportunity to forge a new role for ourselves in the world. The Prime Minister’s first bilateral visit outside Europe was to India, which is very telling. It was encouraging that the Indian Finance Minister visited the UK for the year of culture launch in February last year. I am optimistic about the opportunities that leaving the customs union and the EU presents for UK-India relations.
Her Majesty’s Revenue and Customs is launching a new customs declaration service, which is due to go live in January 2019. Has it been designed to deal with the fourfold increase in customs declarations that will be required post Brexit?
The customs infrastructure is going through the upgrade that the hon. Gentleman mentions, and that is on track and on target. I am looking forward to the opportunity to build on our customs regimes so that we have a customs and excise framework that sets the standard for the world.
(6 years, 11 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
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Thank you for your stewardship and chairmanship of this worthwhile and interesting debate, Mr Hanson.
I pay tribute to my hon. Friend the Member for Sutton and Cheam (Paul Scully) for leading the debate, on behalf of the Petitions Committee, on whether the UK should leave the EU immediately. I must say that I very much enjoyed listening to his contribution and those of many hon. Members today. He has been a passionate campaigner for Brexit for many years. I applaud the sensible, pragmatic and optimistic message that he voiced and set out, which was echoed by many hon. Members who took part in the debate.
I was particularly struck by the chord of unity and agreement and the consensus that emerged from this debate. From Members who took opposing sides in the referendum debate, from all over the country and from different political parties, there has been a total consensus that the UK should not walk away from the negotiations now, should continue to build on the progress that has been achieved and should work towards seeking that new, dynamic relationship with the EU through an agreement. I share that optimism and pragmatism that has been expressed today by many Members. I also share their call for unity, which was particularly expressed by my hon. Friend the Member for Ochil and South Perthshire (Luke Graham)—a unity that unites all of us behind a shared vision of a Britain of the future: one that is global, open, dynamic and prosperous.
Combined with that optimism and that call for unity is a shared acknowledgment of the need for patience. Again, that has been voiced by many today, including the hon. Member for Edinburgh West (Christine Jardine) and my hon. Friend the Member for West Aberdeenshire and Kincardine (Andrew Bowie). Time is needed so that we can make the best of Brexit and strike a successful and prosperous agreement with the EU.
The Government’s position has been very clear: the United Kingdom voted to leave the European Union and there must be no attempts to remain inside the EU, no attempts to rejoin it through the backdoor and, importantly, no second referendum. To do so would undermine our democracy and destroy the vital trust that lies between citizen and state, between voter and representative. That commitment to leave the EU is steadfast on the part of the Government. It means leaving the customs union and the single market when we leave the EU. It means regaining control over our laws, our border and our money. It means restoring our ability to be a leader in global trade and to set our own independent immigration, agricultural and fisheries policies. It means benefits for consumers, businesses and our democracy.
The Prime Minister has also been very clear that the UK will leave the EU at 11 pm on 29 March 2019—a date that is fixed as a matter of law under the article 50 process. This will reduce uncertainty to businesses and the public: we will leave the EU no later and no sooner than that fixed point.
I just want to take the Minister back to her point about democracy. Does she accept that no Parliament can bind another Parliament and that, although I am not advocating a second referendum and it is not something I support, as a matter of principle it is not anti-democratic to hold one?
The referendum that we saw in 2016 was a brilliant example of a thriving democracy. That vote, whether it had been to leave or to remain, although the majority vote was to leave, was a vote of confidence in our democratic process. It was a vote of confidence in Britain, and it is incumbent on all of us to respect that result and deliver that outcome.
The position respects the vote of the people in the referendum of 2016 to leave the EU. It also reflects the will of Parliament. The Government have successfully triggered article 50, pursuant to an Act of Parliament passed last year in the Commons on Second Reading by 498 votes to 114—an overwhelming majority—and they are negotiating for a good outcome that works for both the people and businesses in the UK and those in the EU.
As someone who campaigned to leave the European Union, I understand that those who signed the petition are impatient to leave the EU and are asking the Government to leave the negotiations before 2019. However, the Government are responding in a responsible manner, balancing the needs of adapting to our new post-Brexit landscape with ensuring that we are in the best possible position to really grasp all the advantages that Brexit will bring, so that we can have a smooth and successful Brexit. That is why an implementation period is so important.
Furthermore, we do not believe that the “punishment deal” mentioned in the petition will come to pass. Striking a free trade agreement with the European Union will be mutually beneficial to both parties. We want a rich, prosperous new partnership with our European friends and allies, and we believe that that is eminently possible. Seeking the best deal for the UK and maximising the benefits of leaving the EU, while maintaining the greatest possible access to EU markets and continuing to work with our European neighbours on common problems such as terrorism and security, is vital if we are to ensure that we manage the prospects of life outside the EU.
In addition, after withdrawal the UK will bring an end to the direct jurisdiction of the European Court of Justice. As the EU has confirmed, we have already made significant progress towards a good deal, as was set out in the Government’s joint report in December, striking agreement on citizens’ rights, on a financial settlement and in relation to Northern Ireland. For me, and for the Government, that provides great confidence that we can achieve a more positive deal going forward, and significantly reduces the chance of a no-deal scenario.
However, let me be clear: while we want and expect a good deal with the EU, the Government have a duty to plan for a range of eventualities, including the unlikely scenario where we leave the EU without a deal. That is common sense and it is prudent. Our plans are carefully developed to provide the flexibility to respond to a range of negotiated outcomes and to prepare us for the unlikely eventuality of not securing a deal.
Some of the Government’s planning has already become evident. Each Department has a clear understanding of how withdrawing from the EU may affect its existing policies in a wide range of outcomes. To support Departments, the Treasury has already given those such as the Department for Environment, Food and Rural Affairs, the Home Office, Her Majesty’s Revenue and Customs and the Department for Transport, nearly £700 million to prepare for Brexit, and is making an additional £3 billion of funding available over the next two years.
On a legislative front, as well as the European Union (Withdrawal) Bill, the Government are already introducing other legislation, such as our Trade Bill, which will allow the UK to develop an independent trade strategy. The Sanctions and Anti-Money Laundering Bill will lay the groundwork for an outstanding international sanctions regime, and the customs Bill will set a framework for delivering an effective customs regime. Legislation on nuclear safeguards arising from the UK Parliament will deliver a regime for the future landscape on nuclear safeguards.
Does the Minister accept the recommendations of various Committees, including the Business, Energy and Industrial Strategy Committee, for example, that we should seek to rejoin Euratom, or seek associate membership? It would cost around £4 million, which would be a far cheaper option, and would instantly align us with a nuclear safeguards regime that is worldwide, rather than just European, permitting our power stations to keep providing electricity for our homes and constituents. Although I appreciate that the Bills are being introduced, does she see that that is a sensible option?
No. The Government’s policy is to leave Euratom, because although it provides some benefits, it also subscribes us to a jurisdiction and legal framework that are not aligned with our objectives in leaving the European Union. Our Nuclear Safeguards Bill provides us with an opportunity to combine exactly the objectives that my hon. Friend set out with honouring the legislative requirements of leaving the European Union.
Does the Minister not accept that the Government might have got things the wrong way around? They decided that they wanted to get away from any influence from the European Court of Justice, and despite the damage that that is now doing to our future nuclear safety regimes, for example, that red line has become almost an obsession. Regardless of what disadvantages it brings with it, the Government seem to be hell-bent on not moving any of those red lines by as much as an inch. Is that not just silly?
A vote to leave the European Union entails an end to the jurisdiction of the European Court of Justice. That is what this Government are committed to and that is what will be delivered. It is essential if we are to regain the benefits of leaving the European Union.
Although the Government do not want or expect a no-deal scenario, we have a duty to plan for all eventualities, so we continue to develop those plans to ensure that we are prepared when we leave the EU at in March 2019. Alongside the necessary legislation, we are procuring new systems and recruiting new staff where necessary to ensure a smooth exit regardless of the outcomes. However, to walk away from the negotiating table now and leave immediately would be counterproductive and unnecessary, especially in light of the progress made in December on the first stage of the negotiations.
First, consider the financial settlement. Far from the punishment deal anticipated by the petition, we have achieved a good deal for UK taxpayers. Britain is a nation that honours its obligations, and we will honour our share of the commitments made during our membership while ending the vast sums of money going to the EU every year. Crucially, we have ensured that our rebate will continue to apply, and that the EU will reduce the settlement accordingly. The settlement may be paid over the course of several years, but the Government estimate that it will be between £35 billion and £39 billion, equivalent to roughly four years of our current budget contribution, around two of which we expect will be covered by the implementation period.
As the hon. Member for Glenrothes (Peter Grant) pointed out in his speech, the money is not a divorce bill. We have agreed a fair financial settlement with the EU, enabling us to move to the next stage of negotiations. We will soon see significant savings from our payments to the EU, compared with what we would have paid had we stayed in. We will continue to benefit from EU programmes under the budget plan. No UK region will lose out on EU budget funding, and anyone who gets European funding—local councils, regional bodies, UK businesses, scientific researchers, Erasmus students or charities—can continue to bid for and receive funding until the end of their projects.
From the beginning, the Prime Minister has been clear that safeguarding the rights of EU citizens is her priority. In her open letter in October, she made it clear that we
“hugely value the contributions that EU nationals make to the economic, social and cultural fabric of the UK”,
and that we want them to stay. We are pleased that that commitment is reflected in the joint report of December. The agreement reached in principle will provide citizens with certainty about their rights going forward, enabling families who have built lives together in the EU and UK to stay together. The agreement gives people more certainty not only about residence but about healthcare, pensions and other benefits. The agreement will cover only those people defined in the withdrawal agreement. Anyone arriving in the UK after the specified date who does not fall in that category will be subject to future arrangements.
Those who signed the petition may well have had concerns about the European Court of Justice. At present, the UK is bound by all ECJ decisions; hundreds of decisions every year have effect in the UK, whether or not the case originated in the UK. That will end. The UK will take back control of its laws, and UK courts will have the final say on UK cases. EU citizens’ rights in the UK will be upheld by implementing the agreement into UK law.
Of course, we will still be subject to the rulings of the European Court of Human Rights. My constituents have a great deal of difficulty understanding the distinction between the two. Will the Minister confirm that it is Britain’s intention to remain bound by the judgments of the European Court of Human Rights? The judgment in the Abu Hamza case, for example, prevented us from deporting him.
As my hon. Friend rightly points out, the European Court of Human Rights arises from the European convention on human rights, totally separate from the European Union and its legal structures. It is a source of much of our rights culture here in the UK, transposed through the Human Rights Act 1998. She is right that we are, and will continue to be, bound to honour that document and the decisions of that court.
I am listening to what the Minister is saying, and I have a lot of time for the interventions from the hon. Member for Eddisbury (Antoinette Sandbach). I represent a leave seat and, to be completely candid, nobody has raised concerns with me about the ECJ being involved in issues such as nuclear safeguards or even EU citizens’ rights in this country. In those limited respects, and possibly much more widely, no one has raised it with me. It is slightly misleading to suggest that there is huge outcry and dissent about that particular issue. I do not believe that it is true, and it is not borne out by any of the discussions in my leave seat.
I must disagree with the hon. Lady. I think that sovereignty, whether it is parliamentary or legal sovereignty, were key factors in the referendum.
On many issues. Whether on immigration, on which the ECJ has the final say, or on nuclear safeguards, ending the ECJ’s jurisdiction is integral to leaving the European Union, and the two cannot be divorced.
To resume my point—in the UK, EU citizens’ rights will be upheld by implementing the agreement in UK law. In the interest of the consistent interpretation of citizens’ rights, the UK has agreed that a narrow group of issues will be referred to the ECJ for interpretation, with due regard to whether relevant case law already exists. That will be up to our courts and they will make the final judgment, not the ECJ. In practical terms, that is a very limited role: our courts refer only two or three cases of that kind to the ECJ every year. In any case, there is a sunset clause after which that voluntary reference to the ECJ will come to an end. In short, any continuing role for the ECJ in our legal system will be voluntary, narrowly defined, and time limited.
A further reason why the Government seek to continue their negotiations with the EU rather than to leave before March 2019 is the advantage gained by securing an implementation period, as set out by the Prime Minister in her Florence speech. The implementation period will be strictly time-limited and mutually beneficial —it will be in everyone’s interests. Let me be clear: it is about not delay, but preparation.
An implementation period is essential to make the most of Brexit. We want to leave the EU, but we want to leave successfully. We want to base the long-term trajectory of our country as an independent nation outside the EU on prosperity, growth and taking back control. The best way to achieve that is by causing the least disruption.
An implementation period is important because businesses and public services will have to plan for only one set of changes in the relationship between the UK and the EU. At the end of that period, all our systems, procedures and structure will be in place and ready to go. There will not be one set of changes in 2019 and one at a later date. Many hon. Members have spoken on behalf of the business community, which has been clear about the importance of the implementation period to its planning. An implementation period provides certainty, which is a clear advantage and one of the key reasons why the Government are seeking to make a beneficial deal with the EU, rather than to leave prior to March 2019.
I thank hon. Members for their contributions to this interesting debate. To reiterate, there is no doubt that we are leaving the EU, the customs union and the single market. We are seeking a new future partnership with the EU in the second phase of negotiations, and we neither want nor expect a “no deal” or a “punishment deal”. We are confident that we can achieve a mutually beneficial deal that delivers on the will of the British people.
The next phase will not be easy—far from it. We can expect difficult moments and challenges.
I will not, because I have been generous in giving way and accepting many interventions.
It is now important for talks to move forward so that we can work towards agreeing the terms of our future relationship. We want to maintain the beneficial trading relationship between the two parties. We aspire to continue to co-operate on an array of areas. We also want to lead the world in global trade by striking trade agreements with countries outside the European Union. We need to devise our own independent immigration policy and restore judicial sovereignty to UK courts. As the Prime Minister set out, we will leave the EU on 29 March 2019 in accordance with article 50. We want to give businesses and the public the certainty that they need to ensure a smooth transition.
As elected representatives, we all have a duty to honour the result of that historic 2016 vote. It was a vote of confidence in Britain, in our democracy, in our country forging a new path, and in a country free to harness its people’s abilities, talents and genius—
I am grateful for the point of order, but the Minister has the Floor. She can give way or not, according to her preference.
Thank you, Mr Hanson.
Our country will be free to harness our people’s abilities, talents and genius to develop a new, dynamic and beneficial future for our country. It is eminently possible that we will strike an agreement between the EU and the UK. Let us get on with the job and deliver for the British people.
(7 years ago)
Commons ChamberSaving the best till last, perhaps.
I rise to speak in favour of amendment 400, to which I am proud to have put my name. I applaud the constructive efforts and sincere energies invested in the amendment by right hon. and hon. Members across the Brexit divide, uniting our party and working in collaboration with the Government to improve the Bill and to reflect the genuine concerns voiced during that process. I pay tribute to the Front Bench team and the civil servants, as well as all those who have contributed to enriching the passage of the Bill during the extensive opportunities we have had for scrutiny, debate and discussion.
Amendment 400 represents a very sensible and pragmatic way forward in resolving some of the concerns raised. It provides legal certainty because, by placing the exit date in the Bill, we will have confirmed the time and date when the UK will be leaving the EU in accordance with article 50. It will ensure that the operative provisions of clauses 1 to 6 apply from that date, and it avoids a potential failure in the construction of clause 3 in that, if exit day was later than 29 March 2019, the conversion of direct EU legislation might fail. That is because clause 3(1) applies to such legislation only in
“so far as operative immediately before exit day”,
but that legislation will cease to be operative when we leave the EU in accordance with article 50. It also limits ministerial discretion, which, after all, is to some extent what Brexit is about. Brexit is about restoring power to Parliament and about giving elected representatives a say. Finally, the amendment complements those two objectives by providing a degree of flexibility on the exit day. The Prime Minister confirmed earlier today that the date might be changed only in exceptional circumstances and for a short amount of extra time.
I want to comment on the Bill more generally. I think that 2017 has been an extraordinarily successful year for Brexit. The Government have triggered article 50, supported by a convincing and large majority of this House. The Prime Minister has moved us on to phase 2 of the negotiations, and we are now at the point of discussing the exciting and new opportunities for future trade. The Bill has also been very successful in its passage.
I want to emphasise the fact that we are making progress. Everybody here in this House has been entrusted with the instruction from the British people to deliver Brexit. We want a smooth and a meaningful Brexit. That is an honour and it is also a duty. The British people are watching, and the world is watching. They might not be interested in the technicalities of constitutional law, or know exactly what the common commercial policy means, but they want us to get on with the job, and to do otherwise would be a gross betrayal of that duty.
We have to talk up the opportunities. We are the sixth-largest economy in the world. We have the world’s language. We are leaders of the Commonwealth. We have a legal system emulated around the world, a parliamentary system envied by other countries, and financial services that are unrivalled. Britain will succeed after Brexit, and we have to find ways in which we can deliver Brexit, not reasons why we cannot.
I wish to speak briefly, as chair of the all-party group on the chemical industries, to new clause 61, tabled by my hon. Friend the Member for Wakefield (Mary Creagh). I am not going to rehearse the arguments that she has already made; she gave an incredibly strong account of why we should stay within REACH. It suffices only to say that the chemicals industry does not want to see any drop in regulatory standards. It wants to stay within REACH, for obvious reasons, not least because it wants a smooth transition post-Brexit, and staying within REACH makes sense in that regard. When an industry as big and as important to our export profile as chemicals is so vociferous in its argument that it wants to stay within REACH, this House and every Member of this House should take notice and think very carefully about how they proceed on that point.
The remaining comments I want to make are on new clause 13. It really saddens me to say this, but I am very sad to see those on my own Front Bench making an argument about new clause 13 that I believe to be erroneous. Their argument tonight has been—on paper, if not on the Floor of the House—that the clause actually ties us into the customs union. Nothing could be further from the truth. My hon. Friend the Member for Nottingham East (Mr Leslie) made it absolutely clear that this clause is about making sure that the option of staying in the customs union is not taken off the table.
I shall not go into all the various arguments that have been made, because we have not got time, but I do want to ask every Member of this House, particularly my colleagues, to bear in mind the importance of not ruling out membership of the customs union. Voting for the new clause tonight will be an act of conscience that will send a powerful signal to the country and the Government that we understand the importance, potentially, of the customs union and the importance of giving the Government the strongest possible negotiating position when it comes to that regulatory alignment that we have heard so much about in recent days.
On Ireland—I will finish on this point—my hon. Friend the Member for Nottingham East made the case about avoiding a hard border between Northern Ireland and southern Ireland, and made the point that that is one of the key reasons why this new clause, and the potential for staying in the customs union, is so important.
(7 years ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I have made it clear to the House that this information was pulled together from a range of documents. As I have also made clear, we have to ensure that commercially sensitive information, and information that would be prejudicial to the national interest, could not be at risk of being published. But this has been a process of ensuring that there is more information for the Committee, not less.
Does the Minister share my concern about how a letter sent by the Secretary of State to the ExEU Committee managed to reach journalists at the Daily Mirror before it was considered by the Committee? Does that encourage or discourage him when it comes to sharing confidential information?
(7 years, 1 month ago)
Commons ChamberI welcome my right hon. Friend’s announcement that there will be a Bill on the withdrawal agreement and its implementation, which will enable vital parliamentary scrutiny. Does he agree that although parliamentary involvement is essential, it is not, and should never be construed as, an opportunity to reverse Brexit, to return the UK to the EU, or to go against the wishes of the British people that were expressed in last year’s referendum?
(7 years, 1 month ago)
Commons ChamberAs my right hon. Friend the Secretary of State said moments ago, he has already spoken to the Chairman of the Select Committee, and I spoke to him briefly last night. We are fully apprised of the will of the House and we will move as swiftly as possible in all the circumstances.
Bass has been fished in the Solent for centuries, and the exceptionally resilient fishermen of today are based in Warsash in my constituency. For decades, they have seen their livelihoods and freedoms eroded by EU regulations. Will the Minister explain to and reassure the fishermen in Warsash about the opportunities they will face once we have left the EU and taken back control of our fisheries policy?
As I have travelled during my duties, I have met a number of fishers who have been very keen to make sure that we take back control of our waters. I assure my hon. Friend that the Government will be seeking a fairer share of quota as we take control of our fisheries policy.
(7 years, 1 month ago)
Commons ChamberI find the basis for this debate utterly baffling, especially in the light of the fact that on 7 December last year Labour Members voted not to demand any information from the Government that could affect our negotiating position. This debate is therefore in direct contravention to something that Labour Members previously supported. That reflects either a bumbling confusion or a deliberate fudging of their approach to the negotiations. They have adopted a strategy that involves accepting any and whatever deal is presented to the UK by the EU. If Britain was required to pay £1 trillion, they would still accept a deal. If Britain was to accept free movement after our departure, they would still accept a deal. If Britain was required to accept European Court of Justice jurisdiction and forced to remain members of the single market and the customs union, they would still accept a deal. Indeed, if Britain was not to be leaving the EU, Labour Members would still accept a deal. They are not behind Brexit and they are not behind what the British people instructed this place to deliver in that historic referendum last year.
This is a complex negotiation, and it is important that we get it right. It is normal that in even the most basic trade negotiations there needs to be a degree of secrecy, as my hon. Friend the Member for Chelmsford (Vicky Ford) highlighted, based on her experience in the European Parliament. The European Commission made that very clear when it said recently:
“A certain level of confidentiality is necessary to protect EU interests and to keep chances for a satisfactory outcome high. When entering into a game, no-one starts by revealing his entire strategy to his counterpart from the outset: this is also the case for the EU.”
If that is the case for the EU, why cannot it be the case for Britain?
We need to retain room for manoeuvre, including the ability to give and take—to trade off different interests and maximise the value of concessions—and to do so without always having the other side know what we know.
No, because I do not have time.
We need to retain our ability to negotiate with that degree of agility and speed. This trade negotiation is different from any other. We have a changing political context. It involves different parties—other countries that are members of the European Union. It involves elections and changing political contexts. We have already had elections in France, Germany and Austria, and we will have many more between now and 2019.
Parliamentary scrutiny is right, and it has been provided through questions, papers and debates. I urge Labour Members to get behind Britain, get behind Brexit and get behind the Government.
(7 years, 3 months ago)
Commons ChamberI join in congratulating my hon. Friend on his appointment. Whether in relation to workers’ rights or more generally, does he agree that had the British people wanted to be subject to EU law, they would have voted to remain in last year’s referendum? Does he agree that the European Union (Withdrawal) Bill actually restores powers to Parliament and that a vote against it is only a vote to ensure that the UK automatically keeps pace with EU law with no say of its own?
Of course my hon. Friend makes an important point, for which I am most grateful. An easy way to automatically keep pace with EU law, whatever it might be, would have been to remain in the EU, but the public did not choose to do that, so Parliament will decide the law in future and it will be for Parliament to scrutinise any proposed changes.
(7 years, 5 months ago)
Commons ChamberThat is not an accurate reflection of what I said. I will come to that in due course—[Interruption.] I will come to it when I get to that part of my speech.
The Prime Minister and the Secretary of State need to acknowledge the effect of the general election on their Brexit strategy. If the general election was an attempt, as the Prime Minister said, to strengthen her hand on Brexit, the outcome is a powerful case for a rethink. It is time to press the reset button. First, the tone and approach have to change. The belligerent, hostile attitude to date has alienated our allies and left Britain isolated. We need a more constructive and responsible approach. We share values with our EU partners, with whom we have a shared history. We will continue to share values, and we want a shared future: not membership of the EU—that was decided last year—but a full and meaningful partnership, based on principles of co-operation and collaboration. [Interruption.] The Foreign Secretary does not understand. I am talking about tone and approach, which is particularly pertinent for him. Anyone who has been backwards and forwards to Brussels knows very well how badly some of his comments have gone down with our EU partners. This is about building an environment in which we can get the best deal for our country, which is in all our interests.
Speaking of tone and approach, may I request that the right hon. and learned Gentleman changes his tone and approach to something a bit more positive? Brexit is an opportunity for our country to grasp, not a crisis to manage. It is hypocritical and arrogant of him to look behind what the British people voted for last year.
One of the biggest risks to these negotiations is utter complacency—the failure to realise the risks and complexity of the negotiations. It is quite right for the Opposition to challenge the Government at every twist and turn to ensure that these negotiations go as well as possible.
Our great country is about to embark on a journey of national self-determination, rediscovering and building our identity as a great trading nation, an outward-looking nation and a nation that has every reason to be confident in its future. The Government have rightly rejected staying in the customs union and the single market. If we are to realise our aspiration of becoming a self-governing, global-facing democracy, we cannot remain signed up to the single market or customs union.
Contrast the Government’s position with what we have heard from the shadow Secretary of State today: confusion and an illogical position, as he stated that membership of the customs union remains on the table. Contrast that with what the shadow Attorney General said this weekend: we will not necessarily be able to control our immigration policy. But that was what people voted for last year. If Brexit is to mean anything, it must mean control of our borders, our immigration policy and our trade.
Why has the customs union not served our purposes? There are four main reasons. First, it has not served our country’s trade interests. The EU has a laughable track record on securing trade agreements with the more flourishing parts of the world. Since 1999, our trade deficit with the EU has grown from £12 billion to £71 billion. That is in contrast to our growing trade surplus with the rest of the world—we have gone from a deficit of £4 billion in 1999 to a surplus of £34 billion in 2016. There is therefore an amazing opportunity for our country to forge trade links with the rest of the world, rather than being reliant on the declining market of the EU.
We will be able to strike new trade deals only if we are out of the customs union. The alternative is impossible because of the common commercial policy, which binds all its members. The Labour manifesto says that it wants to
“work with global trading partners to develop ‘best-in-class’ free trade and investment agreements that remove trade barriers and promote skilled jobs and high standards”,
but that is simply not possible as long as we are members of the customs union.
Secondly, EU protectionism harms British consumers. We are denied products such as cheaper sugar from developing states because protectionist tariffs favour less efficient farmers in northern Europe. The EU customs union has pushed up the price of food and clothes by an estimated £500 a year for each household. By opening the market and lowering barriers to entry for new competition, prices will fall and consumers will benefit. Choice and quality will increase as producers will no longer have a captive market or a monopoly.
Thirdly, the EU’s trade agreements have focused too much on goods. When 80% of our GDP is from services, we need to realign our trade policy. Lastly, the customs union severely penalises farmers and workers in developing countries when they export to the EU. The tariffs are unequal and discriminatory, and that really is an enemy of fair trade. If we want to, we can develop more opportunities to support African countries to become more sustainable and to industrialise.
In conclusion, Brexit is not a crisis to manage, as the Opposition would have us believe. It is a golden opportunity for us to seize. I implore them to get behind the Government and support Brexit in all its forms.
(7 years, 7 months ago)
Commons ChamberOrder. As this is the last day and, other than points of order, we will be suspending, my instinct is to hear colleagues who want to ask questions, but I hope that they will not expect to be heard without limit. Therefore, if colleagues now want briefly to put their questions to the esteemed Secretary of State and his colleagues, I am open to that. I call Suella Fernandes, who will speak with great brevity, I am sure.
Does my right hon. Friend the Secretary of State agree that financial services in London, Edinburgh and throughout the country will be able to benefit from principles of equivalence and mutual recognition as an alternative to passporting, to ensure that that sector remains open and thriving, as stated recently by Mark Carney, the Governor of the Bank of England?
My hon. Friend is absolutely right. We will continue to work closely with the regulators to ensure that we have some of the best, and best regulated, financial services in the world.